1999 State Legislative Report - Arizona

Contact: PAUL J. KENNEDY

I CIVIL ACTIONS
ALTA® I-J:

Chapter 283 / SB 1152 Child Support; Judgments

Under the current law, a child support judgment must be renewed every five years unless it is obtained during the child's minority in which case it need not be initially renewed for ten years following the emancipation of all of the children. Under the revisions, written child support judgments are exempt from the statutory renewal requirement and are enforceable and continue as liens if recorded until paid in full. Unpaid support obligations expire unless they are reduced to written judgment within three years after emancipation of all the children.

Legislature concurs with finding that upper Salt River from confluence of White and Black rivers to Granite Reef Dam was non-navigable on date of statehood; state waives and disclaims any right, title or interest therein based on navigability and the equal footing doctrine.

III. ESCROWS
ALTA® III-D:

Chapter 60 / SB 1217 Escrow Deposits

Currently, escrow monies must be deposited by the escrow agent in a bank, savings bank, or savings and loan doing business in Arizona. After the revisions, this requirement applies unless all parties otherwise instruct the escrow agent in writing, in which case the funds may be deposited pursuant to the parties' written instructions but not outside the United States.

IV. INSURANCE / BUSINESS ISSUES
V. STATUTORY LIENS
ALTA® V-A:

Chapter 161 / HB 2635 Mechanics Liens; Demand for Stop Notice

Under the provision passed in 1998, a potential lien claimant who fails to serve a stop notice within thirty days after written demand from the owner or construction lender forfeits lien rights as to work described in the demand. Under the revision, the lien rights are preserved and the lien claimant forfeits only the right to serve a stop notice.

The demand for stop notice must be served by registered or certified mail and must include in bold print as large as the largest print in the notice the following: "DEMAND FOR SERVICE OF STOP NOTICE PURSUANT TO A.R.S. SECTION 33-1054" (owner demand) or "SECTION 33-1055" (lender demand).

Section 33-707E is expanded to permit title insurers to record partial satisfactions of mortgages and partial releases under deeds of trust after complying with statutory notice provisions.

Satisfaction or release of a mortgage or deed of trust paid in full prior to September 21, 1991 (original effective date of title insurer release provisions), may be prepared and recorded by a title insurer without the prescribed notice which previously was required.

Provisions applicable to contracts or agreements for sale of real property are amended to include title insurer payoff deed provisions modeled after the 33-707E release provisions.

X. RECORDING
ALTA® X-C:

Chapter 261 / SB 1279 Peace Officer Records

Provisions restricting public access to information about peace officers expanded to include information in the office of the assessor and treasurer; these provisions are included within a lengthy criminal bill addressing numerous other matters.

ALTA® X-C:

Chapter 129 / HB 2042 County Recorder Documents

Repeals the 1996 provision which would have sunsetted the language that currently allows a cover page on a document whose first page does not comply with statutory recording margin requirements.

ALTA® X-F:

Chapter 89 / SB 1288 Recording Digitized Documents

A recorder may accept a digitized image of a recordable instrument submitted by a title insurer or title insurance agent, a state or federally chartered bank, or a government entity, if the original conforms to the paper recording requirements.